It is a subsidy granted to the foreign buyer to reduce the overall interest rate cost of its export loans by stabilizing the loan rate at a subsidized fixed rate equal to the CIRR
(Commercial Interest Reference Rate) and a non-repayable interest subsidy.
Thanks to this fund, several companies have been able to make essential investments in internationalization through million-dollar loans with a finite interest rate decidedly close to zero and a share on which the beneficiary has paid only the interest and not the principal, thanks to the granting of some pre-amortization years.
For more information on the legal advice of this Firm to start an export project with a foreign partner, please contact using the contact details on this web page.
Image 8: Philadelphia’s skyline from the expressway (Pennsylvania, USA).